NS&I Premium Bonds holders issued 2026 prize warning | Personal Finance | Finance
Premium Bonds savers are encouraged to look over their accounts as the new year starts. The prize fund rate for Premium Bonds is currently 3.6 percent, with the odds of each £1 Bond being selected for a prize currently at 22,000 to one.
The more Bonds you hold, the better your chances of winning a prize, and you can hold up to £50,000 in Bonds.
But the reality is you can go months or even years without taking home a prize. Customers who didn’t win any prizes last year may be wondering if they will have better luck in 2026, or if now is the time to cash in their Bonds.
Aaron Peake, personal finance expert at free credit score service CredAbility, encouraged customers to think through if the scheme is still right for them.
He said: “Premium Bonds are often treated like a tradition. People buy them, forget about them and enjoy the excitement of the monthly draw.
“There is nothing wrong with that, but it is still worth checking whether they are working hard enough for you. Unlike savings accounts, there is no guaranteed return. You might win a prize, or you might get nothing at all, even after holding them for years.”
He pointed to a simple test to help work out if your really want to hold on to your Bonds. Mr Peake said: “Going into the new year, ask yourself a simple question. If you stripped away the fun of the draw, would you be happy with the outcome so far?
“If the answer is no, that could be a sign to review your approach. That does not mean you have to cash them all in. For many people, a mix works better.”
He said you could diversify your savings by putting some of your funds into easy access accounts so you can get at the cash if you need it.
He said you could also put some of your savings in fixed rate accounts or cash ISAs. The expert said: “Structuring your savings like this spreads risk and gives you a better balance between certainty and chance.”
Opportunity cost
Mr Peake shared another way to think about if Premium Bonds are right for you. He said: “For savers wondering whether now is the right time to cash in, it often comes down to opportunity cost.
“If savings rates elsewhere are competitive, and you have not seen much joy from the draw, moving at least some of your money could make sense. The new year is often when people set fresh goals, so aligning your savings with those plans can be helpful.”
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